Club Kotara has played host to countless birthdays, bowls games and bingo nights, and now board president Robert Muir is asking the community it has supported for the last 75 years to return the favour.

"What we're saying to the membership and community of Kotara is that your club needs your assistance, and if you weren't aware that the club is in serious financial distress, now you are," he said.

"There's going to be further difficulty over the coming months, all we're trying to do is let people who have an interest in this club, the community, to let them know this club will not continue unless there's an immediate change in its patronage."

Over the past 18 months, the board and management have tried to increase engagement with local sporting teams, community groups and schools as well as increasing social activities and converting a bowling green to a social green.

Despite those efforts, Club Kotara has seen a "drastic" decline in revenue, over 20 per cent, in the last 12 months.

In a statement, Club Kotara said that if it doesn't see an immediate increase in community participation, its directors will have to consider placing the club into voluntary administration within a matter of weeks.

In the last six months, the board has been closely monitoring the club's financial performance with the help of external accountants, but Mr Muir said the current economic climate has had a detrimental effect on its operations.

"Before COVID hit the club was profitable, we were showing after eight months to February of 2020, the club was showing a profit of about $80,000," he said.

"We have certainly noticed in the last six months a significant drop in revenue, and we are putting that primarily down to cost of living pressures.

"At the end of the day we're in a situation where everyone is finding it difficult with the cost of living, loan repayments, food, other necessities take priority over going out to a club or pub and having a meal out - that discretionary spending has severely tightened."

In an effort to tip the scales, the bowlo has put out an expression of interest with ClubsNSW and is considering amalgamating with another club.

The expression of interest will close on February 29.

A ClubsNSW spokeswoman told the Newcastle Herald that like most hospitality venues, clubs across NSW are battling with the skyrocketing cost of supplies and wages growth.

"Clubs are also feeling the impact that the rising cost of living is having on families and patrons, who are being forced to cut back their spending on entertainment and dining out," she said.

Mr Muir said that when he started playing bowls about 35 years ago, there were more than 70 bowling clubs in Newcastle, which has now dwindled to just over 40.

He said larger clubs like Wests, Charlestown, Raymond Terrace and Kahibah have an advantage over smaller clubs because they own their own land and don't have to pay rent.

Last year, Club Lambton faced closure due to an almost 700 per cent rent hike from Crown Lands in just 18 months.

Mr Muir said that with more families coming into the area, there is a transition happening among patrons.

"The club is trying to maintain its current focus on that community, but it could be doing better, it should have done better in the past but at the moment this is a club that's taken its time because of a lack of resources, not just financial but human resources, there just hasn't been enough," he said.

Mr Muir said the board is having special fortnightly meetings to reassess the financial situation.

"We're taking it week by week," he said.

"If you want your club to continue, maybe consider coming down here and assisting the club with increased turnover, which is only going to help us stay open longer and be in a position to support the community in the years to come."

A decision on the future of the club is expected to be made in mid to late March, once any changes in trading conditions have been assessed.

It comes as other bowling clubs have had to 'fight for the right to party', with Stockton Bowling Club claiming recently it would struggle to remain afloat if forced to halt live music while Adamstown Bowling Club escaped further licensing conditions following an investigation into noise complaints.